The S&P 500 has pulled back a bit during the trading session on Friday, reaching down towards the 3220 handle. However, there are buyers down there waiting to get involved and therefore think we continue to grind higher. 20 day EMA underneath is massive support, and at this point in time it is likely that the market will continue to find buyers in that general vicinity, perhaps even extended down to the 50 day EMA after that. That being said, the market is likely to continue finding value hunters coming into this market, so I think that eventually liquidity wins, and we go much higher.
S&P 500 Video 03.08.20
The 3300 level above is a target, and once we break above there is likely we will try to fill that small gap that is closer to the 3050 handle. Above there, then the market is likely to go looking towards the 3400 level which was the all-time high. I do think we eventually get there, and perhaps even further to the upside. Regardless, I have no interest in shorting this market as long as the Federal Reserve continues to be ultra-loose with its monetary policy and continue to flood the market with greenbacks. Because of this, the market is going to continue to offer opportunities every time we dip, so be cautious about trying to short this market, as it is in an obvious uptrend and there is no reason to try to fight overall.
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